API vs. EDI in Freight Management: What’s the Difference?

The chain of trade is a chain that has both a beginning and an end. It is an ideal circle in which the whole process is constantly turning – producing a product, transporting it, selling it, getting money, and investing again in a new product of the same type that will be used by future users. But in order for a trade chain to function properly, it is first of all important to have ongoing and uninterrupted production, and an excellent sales network, but above all, it is important to do the right freight management, that is, of the goods that are the subject of trade. Freight management brings its own advantages that make the whole process much easier to organize, monitor, and complete, but what are the advantages?

The advantages lie in the principles and solutions that have been designed and functioned perfectly. First of all, in the past, opportunities for improving the management from this aspect were perceived, and that’s why we started considering solutions that could simplify the process as much as possible. Over time, many solutions were reached, but API and EDI services were chosen as the number one choice for the management process. We are sure that you are wondering why exactly these solutions and we are sure that you are not completely familiar with them, so let’s get to know better the API and EDI systems that are used in the process of freight management.

API and EDI systems are useful systems that are part of supply chains. These systems are used to be able to make a complete connection that will help to make the processes much simpler for everyone, and thus the path of the goods can be followed, but above all traced. API stands for Application Programming Interface, while EDI stands for Electronic Data Interface, but what exactly do these two terms mean, what do processes mean and how do they serve to improve things and make things much easier? We talk much more about this topic today when we bring you answers to questions that are unclear to you. So let’s see together something more on this topic.

What is the EDI system?


We are sure that you have already witnessed the abbreviation EDI, which refers to Electronic Data Interface, but do you know what this system actually represents? This system is an opportunity to process all the data and connect them when necessary. It has existed since the 70s of the last century and is actively used in the transportation and management of goods. It is a valuable system that simplifies processes such as recording invoices, orders, etc., which can then be automated and sorted, but first processed. It works through the concept of basing all information in one place and connecting it at the times and circumstances when it is needed. This system is very useful and makes processes easier, and at the same time, it works even better when connected to the API.

What is the API system and what is it used for?


API or Application Programming Interface is the helper to make all the processes that are based on the use of EDI work better. It is about an opportunity that is given to EDI users to access all data and information through the cloud system that uses the API. This is a modernized and advanced solution that allows all companies and entities that work with goods a fast flow of information and activity that is of high importance. Such systems are used by large corporations such as Amazon, UPS, DHL, Apple, and many other corporations that manage goods. This solution is the opportunity that companies need to be up-to-date in everything they do in terms of storage, but also shipping the goods.

What is the difference between these two solutions?

What you need to know is that API and EDI without each other could not work as well as when you have them together. Through the EDI system, you have the opportunity to create a database that you can manage as simply and quickly as possible, and the management itself can be supported by an API service that offers a cloud solution that can help circulate all data between units. Which are connected in one process of goods management. That is why these two solutions are important. The difference lies in the fact that one is a collector and the other is a disseminator of information, and it is good for any company that deals with goods to have these systems that offer excellent management opportunities.

What are the great features that you can have from these two systems?


As we have said several times, there are opportunities that you can feel as advantages of using API and EDI systems, and what are they? Some of them are:

  1. Connect a partner network in which everyone will be involved – in a goods management process it is not only you as a company. There are also a large number of partners that need to be involved in the process, and it would be much simpler if you used the API and EDI systems that offer you excellent opportunities for communication, coordination, and proper arrangement of the entire process.
  2. It’s much simpler to pay and submit all important documents related to the goods – if you need a secure way to arrange and manage payment, but also a way to receive all related documents, then this is it task of API and EDI and all that is needed is to implement them in operation.
  3. Administratively, all processes are more orderly – each of us wants to function in an orderly and correct way, but often it is difficult until you introduce a positive change in the process. One such positive change can be the use of API and EDI, which allow you administratively more orderly processes that will have a concrete and accurate flow from which there will be no deviation.

Now that you know the difference and are sure that this solution is what you need for better organization and greater functionality of goods management, it is only necessary to successfully implement and manage the successful use of this opportunity that can give to help you in freight management.

About Boba Mandale